auto insurance questions answered
Social Security Number verification for auto insurance – WHY?
I received a number of answers to the question. It appears that some cites cases that received depends on how good or bad credit. What is the difference if someone has bad credit, while he is a good driver? Premiums insurance is paid in advance so why the credit check?
Well, the difference is that people with lower credit scores have more claims, and more on claims paid. Which translates, less credit = worst record of complaints. No matter why there is a corrolation – but the fact of the matter is, there IS a corrolation. Like, 16 years of age, children have more accidents than men age 35 married. Companies insurance does not care about the "why". So I could have people saying: "Oh, if you are careless about money that are neglected in driving ". But that's just a guess. To the best of my knowledge, no studies have been conducted trying to figure out why, because… companies insurance do not care why. It is irrelevant. State insurance departments agree – in all states except California, credit scores are the method # 2 of determining the type of underwriting and eligibility – with driving records that are # 1.
Allstate – Marina Towers “Behind the Scenes”
